Inspired by Maynard’s article on Hornby’s turnaround, Richard examines the history of Games Workshop to imagine what challenges lie ahead if Hornby is to emulate the success of this outwardly similar hobby business. The idea for this article came from Maynard’s article about Hornby. To my mind he convincingly described a turnaround that is already […]
Since the post-pandemic stock market boom, analysts and experts have warned us that the market was overvalued. Some have gone even further and submitted that we’re in a bubble that is set to burst. However, prices keep rising, suggesting many investors believe there is still value to be found. So which is it? Is the […]
Last week the FTSE 100 was up +1.1% to 7,111, Nasdaq was up 1.5% to 15,181, outperforming the S&P 500, up +0.8% to 4,429. Both the Hang Seng index in Hong Kong and the FTSE China 50 Index were up less than 1% last week. The US 10Y bond yield continued to fall to 1.19% […]
Will tech stocks still provide reasonable returns for the rest of the year? Or are bank stocks a better bet?
There is an old stock market maxim that says we should “sell in May and go away.” Like most proverbs or cliches, it has a foundation in truth.
I was initially unimpressed by the UK’s mass vaccination rollout. However it is important to keep updating your beliefs when data is better than you had been expecting and not miss the inflection point. From below 150K per week in December, we now have almost 5m vaccinated. My mistake was to extrapolate in a linear […]
This year has confirmed that most of the news is at best irrelevant to me as an investor. Worse, the news stressed me out. It regularly fed my mind with impossible problems to solve. Companies I admired closed down, temporarily I hoped. They raised money in emergency fund-raisings. They furloughed staff. So far, the determination […]
Every crisis presents opportunities. A contrarian strategy of buying bank shares during the point of maximum gloom during a recession has often, but not always, been a good idea. It most definitely failed in 2008 when banks needed to raise capital and had to rely on Government bail outs. But it has worked in previous […]
Lots of people will tell you that the price you pay for a share really matters. This is because it has a big say on the kind of long-term returns you will make from it. What this means in practice is that paying too much for a share – too high a valuation – is likely to […]